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    INDIQUBE

    INDIQUBE
    Services·21 May 2026
    Management Summary

    IndiQube Spaces Limited delivered a landmark FY26, achieving record financial performance with robust revenue growth and significant margin expansion. The company continued its focus on sustainability, expanding its green energy portfolio, and strategically growing its rent-paying area while maintaining operational discipline. Despite a slight dip in quarter-end occupancy, the overall annual performance and future outlook remain strong, driven by GCC demand and value-added services.

    Highlights

    5

    • Revenue reached INR 1,469 crores, marking a 37% YoY growth.

    • EBITDA crossed the INR 300 crore milestone, growing at 60% YoY.

    • EBITDA margin expanded from 18% in FY25 to 21% in FY26.

    • Profit after tax (PAT) improved sharply by 145% to INR 125 crores.

    • Cash flow from operations strengthened significantly, increasing 147% YoY to INR 304 crores.

    Concerns

    2

    • Occupancy dipped slightly to 81% at the end of March 2026, though the average for the year remained at 84%.

    • CAPEX per square foot increased from INR 15.50 to INR 16.50 due to material costs and premiumization.

    Key financials

    Single quarter

    06 metrics
    1. 01Revenue₹1,469 Cr+37%YoY
    2. 02EBITDA₹300 Cr+60%YoY
    3. 03EBITDA Margin21%
    4. 04PAT₹125 Cr+145%YoY
    5. 05PAT Margin9%

    Capital allocation

    2
    high confidence
    CategoryHeadline
    Capex

    ₹414 crores

    Liquidity

    Cash ₹300 crores

    IPO proceeds of INR 610 crores, with INR 462 crores initially allocated for CAPEX, were reallocated. INR 187 crores was moved to other capital assets (design-and-build), INR 55 crores for interior CAPEX, INR 16 crores for solar CAPEX, INR 52 crores for security deposits, and INR 64 crores for investment in real estate/adjacent ventures. General corporate purpose of INR 50.4 crores and debt repayment remained unchanged.

    Guidance & targets

    9
    CategoryTargetPriority
    Revenue
    Top-line growth
    25%-30%
    		Medium
    Revenue
    VASP contribution to total revenue
    17%-18%
    		Medium
    Revenue
    Revenue per occupied seat per month inflation
    5%-10%
    		Medium
    Profitability
    EBITDA Margin
    18%-21%
    		Medium
    Capacity
    Rent-paying area addition
    1.5 million to 2 million square feet
    		High
    Capacity
    Solar power capacity addition
    30-35 megawatts
    		High
    Capacity
    Rent-paying area addition per month
    1 lakh to 1.5 lakh sq ft
    		Medium
    Occupancy
    Portfolio occupancy
    80%-85%
    		High
    Capex
    Solar power CAPEX
    INR 125-150 crores
    		Medium

    Solar CAPEX bifurcation

    Next year (FY27)
    CurrentINR 73 crores spent in FY26, INR 125-150 crores planned for next year
    TargetClearer bifurcation of solar CAPEX

    Why it matters

    To understand the specific investments and strategy for green energy and sustainability initiatives.

    So, next year, we plan to give you some kind of bifurcation of the solar so that it is much clearer on how much CAPEX or what kind of investment we are doing on the solar and sustainability initiative.

    How to verify

    capital_allocation.capex.purposes

    Risks & concerns

    4
    RiskSeverity

    Geopolitical volatility and broader uncertainty

    Management noted 'geopolitical volatility and broader uncertainty around the impact of AI on businesses and workspaces' but stated the company's performance demonstrates resilience. — Management acknowledged

    medium

    AI impact on businesses and workspaces

    Rishi Das stated, 'So, far, we have not seen the impact' of AI, and believes quality jobs are being added, leading to premiumization in office spaces. — Management downplayed

    medium

    Quarterly fluctuations in occupancy and area addition

    Meghna Agarwal explained that quarter-to-quarter dips are normal due to timing of new area additions and ramp-up phases, emphasizing that annual average occupancy (84%) is the key metric. — Management acknowledged

    low

    Material cost increases due to global events

    Rishi Das noted a '5%-7% bump-up' in material costs due to 'war underway' but stated IndiQube is absorbing this increase in CAPEX per square foot. — Management acknowledged

    low

    Q&A highlights

    8

    “Firstly, occupancy of 81% is the end-of-month occupancy for March 2026. But if you see, the more relevant metric is the average occupancy during the year, which is about 84%. Therefore, the actual dip is only 1%, not 4%.”

    asked by Shamit Ashar

    2 min read7 chapters

    Detailed Narrative

    01

    Strong Financial Performance in FY26

    IndiQube Spaces Limited reported a landmark FY26, achieving its highest-ever revenue of INR 1,469 crores, a 37% year-on-year growth. EBITDA crossed the INR 300 crore milestone, growing at 60% YoY, with margins expanding from 18% in FY25 to 21% in FY26. Profit after tax (PAT) sharply improved by 145% to INR 125 crores, and cash flow from operations significantly increased by 147% to INR 304 crores.

    02

    Operational Expansion and Occupancy Trends

    The company added close to 1.6 million square feet in rent-paying area and launched 15 new centers during FY26. While the end-of-month occupancy for March 2026 was 81%, the average occupancy for the full year was a robust 84%, indicating strong utilization. Management clarified that quarterly fluctuations are normal, with the focus remaining on annual metrics and maintaining 80-85% portfolio occupancy.

    03

    Strategic Investment in Green Energy

    IndiQube is actively pursuing its goal of a 100% green power portfolio, with a 4 MW solar plant operational in Latur, Maharashtra, and a 20 MW farm in Yadgir, Karnataka. A 2.7 MW solar farm in Tamil Nadu is soon to be operational. The company plans to add 30-35 MW of solar capacity next year, requiring INR 125-150 crores in CAPEX, driven by the demand for green power from GCCs and new area additions.

    04

    Evolving Demand Landscape and GCC Growth

    The company observed strong office absorption in CY2025 (82.5 million sq ft) and Q1 CY2026 (20.7 million sq ft), with Bangalore leading at 29-30% market share. Flex operators absorbed 23% and GCCs 44% of this space. Management noted no AI impact so far and anticipates continued long-term growth from GCCs, including diverse sectors like logistics and healthcare, with a focus on high-quality, 3-digit hiring.

    05

    Capital Allocation and IPO Proceeds Reallocation

    The total CAPEX for FY26 was INR 414 crores, including INR 256 crores for interiors, INR 50 crores for design-and-build, and INR 73 crores for solar investments. The company reallocated INR 187 crores of its INR 610 crore IPO proceeds to other capital assets, including INR 55 crores for interior CAPEX, INR 16 crores for solar CAPEX, and INR 52 crores for security deposits, reflecting evolving priorities since the DRHP filing.

    06

    Value-Added Services (VASP) as a Growth Driver

    Value-Added Services (VASP) contributed 15% to overall revenue in FY26, up from 12% last year, and is expected to reach 17-18% next year. These services, including IT products and design-and-build, offer 10-15% margins and serve as a crucial client retention tool. The company sees VASP expanding beyond its own buildings, managing offices across India for clients.

    07

    Measured Growth Strategy and Risk Mitigation

    IndiQube maintains a strategy of sustainable, quality growth, prioritizing defensible micro-markets with limited supply over aggressive expansion. The company focuses on multi-tenancy buildings to mitigate risks associated with single-tenant vacancies, with 90% of space uptake being speculative and research-driven. This approach is reinforced by strong landlord relationships and a cautious stance amidst geopolitical and technological uncertainties.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.